Palacký University seeks to acquire Haná Barracks in Olomouc for CZK 89.1 million

Palacký University (UP) has expressed its intention to purchase the Haná Barracks, located in the heart of Olomouc, for CZK 89.1 million. The university has formally requested the Office for State Representation in Property Matters (ÚZSVM) to match the winning bid, which was secured during an auction conducted by the Redstone development company in early September.

Michaela Tesařová, a spokesperson for ÚZSVM, confirmed the university’s interest today, noting that the deadline for Palacký University to indicate its intention to match the bid is set to expire at the end of the day. The acquisition of the barracks received the green light last week from both the university’s academic senate and its board of trustees.

“The ÚZSVM has received a written statement from Palacký University regarding its interest in matching the highest bid achieved in the electronic auction. We will wait until the end of today to conclude this process and will then inform the auction winner,” Tesařová stated yesterday. The sale of the listed building has been a focus for ÚZSVM since September 2021, with the initial auction price set at CZK 262 million before being reduced to CZK 89 million in the ninth round.

UP Rector Martin Procházka described the proposed acquisition as a strategic decision for the university. He emphasized that the purchase price of CZK 89.1 million is advantageous and will be financed through the university’s own resources. The university plans to gradually renovate the building, which has a usable area of 23,490 square meters, seeking state and European subsidies to aid in the effort. Experts estimate that the renovation could cost approximately CZK 1.896 billion. The renovated space is expected to accommodate student housing, addressing a significant shortage, along with catering facilities, offices, and conference rooms. Some areas may also be designated as warehouses.

The plan was presented to the deans of UP’s eight faculties, although Martin Kubala, dean of the Faculty of Science, opposed it, expressing concerns that the financial burden of purchasing and renovating the barracks could detract from other university investments for years to come. The Academic Senate subsequently approved a resolution signaling no objections to expressing a binding interest in acquiring the Haná Barracks, thus paving the way for the transaction. Senators also requested assurances from university management that other planned investment projects would not be compromised and that faculty levies would not increase as a result of this acquisition.

The Haná Barracks have a long history, having served the military for 170 years before becoming vacant in 2013. Previously, the Olomouc Region, along with the Olomouc City Hall and UP, had shown interest in acquiring the site. However, experts have noted the building’s deteriorating condition, leading the regional council to rescind a prior resolution that would have permitted the barracks to be transferred free of charge.

Source: CTK